Published on August 2, 2014
ORGANISATION AND MANAGEMENT FUNDAMENTALS : ORGANISATION AND MANAGEMENT FUNDAMENTALS BY T.VENKATARAMANAN.FCS.FICWA. 8/2/2014 1 Rules of the game: Rules of the game There is no gain with out pain Use it or lose it Lecturer is only facilitator , it‘s u who have to make use of him. 8/2/2014 2 Definition- organization: Definition- organization What is it? Before that a few questions. Where were u born? Where did u study? Where is your father employed ? 8/2/2014 3 Your answers: Your answers In a hospital – In modern college. In reliance and so on. Can u give one word for all these ? Yes .they are all organisations. 8/2/2014 4 Defn. continued: Defn . continued What are their common features ? A name A location A Structure A goal or a common purpose A group of people working for the goal 8/2/2014 5 DEFINITION : DEFINITION Organization is a complex notion. It has several views ,several definitions, several approaches , several models This presentation aims at proposing a comprehensive view of this various notions. 8/2/2014 6 Contd.: Contd. Intuitive notions on organization In everyday life: an office In biology : a cell In society :a school, a hospital In computer science : software or hardware In business :a company and so on 8/2/2014 7 PowerPoint Presentation: Meaning of organization 8/2/2014 8 g o r n a z i n a t o i What do you see above ? A jumble of twelve alphabets PowerPoint Presentation: Now what happens to the 12 alphabets? 8/2/2014 9 O r g a n i z a t i o n I have arranged (organized ) the 12 alphabets in a particular Order to form a sensible word Therefore Organization means “ A structured arrangement of levels and positions of authority and responsibility “ Economic view of organization: Economic view of organization 8/2/2014 10 PowerPoint Presentation: 8/2/2014 11 PowerPoint Presentation: 8/2/2014 12 PowerPoint Presentation: 8/2/2014 13 What happens when these 3 are bought together? 1)Waste land 2)IDLE LABOURER 3) Idle money Who does it? PowerPoint Presentation: 8/2/2014 14 PowerPoint Presentation: 8/2/2014 15 In general what is it ? A structured patterned system of activity, knowledge ,culture memory, History and capabilities, or A decision and communication scheme , which is applied to a set of actors That together fulfill a set of tasks in order to satisfy predetermined goals ,or A division of tasks, a distribution of roles ,authority systems ,communication systems contribution and retribution systems, or An arrangement of relationships between components, which result into an entity, a system, that has a myriad of skills at the level of individuals or A Formalized , intentional , structure of roles and positions ? Or simply a multi-agency system. LET US EXAMINE. PowerPoint Presentation: 8/2/2014 16 ECONOMIC POINT OF VIEW: Man is a bundle of desires ,of innumerable wants , And wants are satiable. These wants for their satisfaction require goods and services which are to be produced .Economics classifies These factors of production into 1) land 2) labour 3)capital and 4)0rganisation. Therefore organization is the fourth factor of production which brings together The other three factors into a productive whole. Land labour, and capital are primary factors and organization is the Secondary factor, an intermediary factor between human wants and their satisfaction . Necessity is the mother of organizations and law under which the organization come into existence is father of organizations. Social Point of View : Social Point of View It may be considered a multi agent system. Consider the following :You want to construct a house. For this you want a plot. You want a plan an approved plan. Construction involves 1)earth work 2)concreting 3)brick masonry 4)lintel roofing 5)electrical 6)carpentry 7)plumbing 8) Sanitary sewerage etc 9)finishing painting 10)material like cement ,bricks ,stones, sand, wood electrical and sanitary wares etc and finally 11)money for all the above -all these are tasks to be carried out –require different skills. 8/2/2014 17 What we do?: What we do? With you as the head a construction organization is formed. You divide the work –assign the tasks –fix responsibility –supervision –reporting for progress of the work on day to day basis for control and coordination .All persons you employ are your agents ,you pay for their cooperation and skill. This is a miniature organization. Thus we find that an organization is a multi agent, dependence based coalition system with structural specifications, functional specifications and deontic specifications permissions and obligations). 8/2/2014 18 organizations: organizations We also find that organizations are the outcome of individual efforts to overcome ones limitations. Organizations are also formed to fulfill objectives that can be met collectively. It is a contrived social machine used for three reasons 1)enlarging ones abilities 2)save time 3)pool resources and take advantage of accumulated and available resources 8/2/2014 19 0rganizing - as a process: 0rganizing - as a process 8/2/2014 20 Organizing as process involves the following steps : 1)Set up the goal or objective 2)Determine the activities necessary to achieve it. 3)Arrange them in groups 4)Assign them to persons. 5 )Establish communication and reporting channels. 6)Delegate authority and fix responsibility 7)Ensure control and coordination through proper systems The Approaches :1)Mechanistic 2)humanistic Mechanistic: Design and fit three M .s Humanistic: Select a team - fix the roles and reporting and review channels Organisation as a structure: Organisation as a structure Just like an architectural plan of a building, the organization structure refers to the formal arrangement of jobs ,functions , roles, and positions in an organizational setting, the network of relationship among individuals and positions in the organization. 8/2/2014 21 Organisation structures: Organisation structures sevaral type of organizational structures have been evolved .They are :1) Line structure 2) Functional structure 3) Line and staff stucture,4)vertical structure, 5) horizontal structure 6)Tall structure 7)Matrix 8) project 9) committee structure 8/2/2014 22 0rganization chart separate slides: 0rganization chart separate slides 8/2/2014 23 VP - Sales [Name] VP - Production [Name] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] VP - Marketing [Name] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] Manager [Department] [Name] [Phone/Email] PowerPoint Presentation: 8/2/2014 24 Classification of organizations: Classification of organizations On social, Economic Political and Legal grounds 8/2/2014 25 PowerPoint Presentation: 8/2/2014 26 CAN U EAT THIS CAKE IN ONE GO? PowerPoint Presentation: 8/2/2014 27 N0 .you have to cut it.make it into smaller pieces to eat it. Similarly a big organization will have to be split into smaller units for the purpose of control and coordination . It is done on some creteria called “bases” DEPARTMENTATION: DEPARTMENTATION Meaning : grouping of similar activities into departments divisions, And other homogeneous units for specialization , better control and coordination is known as departmentation . Bases of departmentation are span, time , shift ,product, process, function,territory, customer etc.( see p/52-58) 8/2/2014 28 FORMAL & INFORMAL ORGANIZATIONS: FORMAL & INFORMAL ORGANIZATIONS With every organization deliberately created for a purpose, comes into existence an automatically created informal organization, built around people and their roles. Formal organizations are built around authority, accountability & responsibility where as informal organizations are built around status politics and power Unit & job are the foundations of formal organizations where as group and sentiments play a dominant role in informal organizations 8/2/2014 29 PowerPoint Presentation: 8/2/2014 30 PowerPoint Presentation: 8/2/2014 31 There is no gain without pain.